Russia to increase defence spending by 60 percent

Moscow, July 30 (IANS/RIA Novosti) Russian defence spending will increase by a staggering 60 percent by 2013 to $66.3 million from $42 million in 2010, a media report said Friday. The government made the decision during a meeting Thursday. The largest growth is planned for 2013, when the figure will rise by 0.5 trillion rubles ($16.6 million), Russian business daily Vedomosti reported.

Navy, aviation and space industries are reported to top the list of priorities in defence spending.

The construction of advanced submarines and Bulava ballistic missiles, as well as the construction of three new Talwar class frigates, three Improved Kilo class subs and other vessels for the Russian Black Sea Fleet are likely to require the largest part of the planned spending, the report said.

It also includes the construction of two Mistral helicopter carriers under Russian-French joint agreement.

Besides, the country plans to spend 2.65 billion dollars on 60 Su-family fighter jets and buy 26 MiG-29K Fulcrum-D carrier-based fighter jets, with the expected contract of more than $828 million.